SRC-TJG C.S.S.B. 1543 78(R)BILL ANALYSIS


Senate Research CenterC.S.S.B. 1543
78R10450 JD-FBy: Janek
Finance
4/25/2003
Committee Report (Substituted)


DIGEST AND PURPOSE 

Currently, property owned by the State of Texas or a political subdivision
thereof is exempt from taxation if the property is used for public
purposes.  Use of public property by a religious organization does not
fall within the definition of use for public purposes.  C.S.S.B. 1543
provides that property owned by this state or a political subdivision of
this state, including a leasehold or other possessory interest in the
property, that is held or occupied by an organization that qualifies as a
religious organization as provided by Subsection (c) is entitled to an
exemption from taxation if the property meets certain requirements.  This
bill also authorizes the religious organization, for purposes of the
exemption provided by Subsection (h), to apply for the exemption and take
other action relating to the exemption as if the organization owned the
property. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 11.20, Tax Code, by amending Subsection (d) and
adding Subsections (h) and (i), as follows: 

(d) Makes conforming changes.

(h) Provides that property owned by this state or a political subdivision
of this state, including a leasehold or other possessory interest in the
property, that is held or occupied by an organization that qualifies as a
religious organization as provided by Subsection (c) is entitled to an
exemption from taxation if the property meets certain requirements. 

(i) Authorizes the religious organization, for purposes of the exemption
provided by Subsection (h), to apply for the exemption and take other
action relating to the exemption as if the organization owned the
property. 

SECTION 2.  Effective date: January 1, 2004.
            Makes application of this Act prospective.